Ecobank Group enhances cross-border payments across Africa
The Ecobank Group and The Pan African Payment and Settlement System (PAPSS) have signed a Memorandum of Understanding (MoU) to facilitate the settlement of cross-border transactions of the Group, including the transactions of all their subsidiaries, through PAPSS.
The agreement was signed on 19 June 2023 during the opening ceremony of the 30th African Export-Import Bank (Afreximbank) annual meeting held in Accra, Ghana. Established by Afreximbank and the Africa Continental Free Trade Area (AfCFTA) Secretariat, PAPSS is a financial market infrastructure that provides a secure and efficient channel for processing cross-border payments, ensuring speed, affordable cost, and reliability in order to facilitate intra-African trade.
By leveraging the capabilities of PAPSS, Ecobank affiliates in 33 countries with over 32 million customers, will streamline and expedite the transfer of funds while ensuring transparency and compliance under the regulators’ supervision. Additionally, the partnership aligns with the African Union’s vision of promoting intra-African trade and economic integration through enhanced financial connectivity. By leveraging their combined expertise, Ecobank and PAPSS are poised to contribute to the growth and development of the African economy.
Commenting on the signing, the Chief Executive Officer, of Ecobank Group, Mr. Jeremy Awori said: “Partnerships such as the one we have signed on PAPSS are essential for the delivery and success of the AfCFTA and for the financial integration and economic development of our continent. We are committed to the success of PAPSS and are pleased to bring on board our payments and collections expertise from our African coverage of 33 markets. This partnership ensures that all partner banks and PAPSS can expand their reach rapidly and enable greater and wider intra-African trade. Today, we begin to change and rewrite the narrative of low intra-African trade by removing the barrier to efficient and instant payments and collections in African currencies.”
With this partnership, Ecobank Group and its subsidiaries will gain access to PAPSS’s cutting-edge platform, enabling them to seamlessly settle cross-border transactions. By eliminating the complexities associated with traditional payment systems, the bank will be able to provide its customers with a more convenient and streamlined experience, facilitating increased trade and economic cooperation across Africa.
PAPSS and Ecobank will be working towards making this service available from January 2024.
For more information visit www.ecobank.com
